If you are managing or letting rented residential properties on behalf of the landlord, it is very important that you are aware of all the laws and regulations relating to residential lettings. These rules are numerous and complex, and property management is not a business to be entered into lightly, even if you are only managing one or two properties.
Further information about some of the laws relating to property management can be found in our advice to landlords - see 'Supporting information' - but this is not intended as a comprehensive guide. We advise that you attend training about letting from a reputable organisation, and that you consider joining a professional association for letting or managing agents.
There are strict rules about how you must publicise any fees you charge and you must belong to a government approved redress scheme. People making money from acting as letting agents or property management agents in the private rented sector, are required by law to join an approved redress scheme.
Agents' requirement to belong to a redress scheme
There are currently 3 government approved schemes:
- The Property Ombudsman scheme
- Ombudsman Services: Property
- Property Redress Scheme
We are the enforcing authority for these regulations and we are required to take enforcement action where a person who should have joined a redress scheme, has not done so.
A financial penalty of up to £5,000 can be imposed where an agent has not joined a scheme.
If you have received a ‘final notice’ about a financial penalty imposed you should pay that penalty.
Pay a penalty online
You can make a payment relating to a financial penalty online, by debit or credit card (credit card payment will incur a bank charge of 1.5%).